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Court of Appeals of Texas, First District, Houston
March 25, 1993, Rendered and Delivered ; March 25, 1993, Filed
[*592] General Electric Supply Company (GESCO) appeals from a summary judgment rendered against it in favor of Gulf Electroquip, Inc. (Electroquip) on Electroquip's claims for sworn account, breach of contract, and quantum meruit in connection with a sale of goods to GESCO.
We affirm in part and reverse and remand in part.
In 1985, representatives of GESCO and Electroquip exchanged telephone calls and, later, purchase orders and similar documents. GESCO sought to reach agreement for Electroquip to sell to GESCO a used motor Electroquip had in stock. GESCO was in contact with a Libyan oil company, Jawaby Petroleum, that was interested in purchasing such a motor, and planned to resell the motor to Jawaby immediately.
Electroquip and GESCO [**2] agreed that Electroquip would sell the motor to GESCO, for a price of $ 50,000. As part of the deal, Electroquip was to modify the motor extensively, to adapt it to the specifications transmitted by GESCO. The original motor [*593] would be consumed in the process; one deposition witness likened it to carving up a Ferrari to reassemble it into a Chevrolet:
You have destroyed something that had value in order to make something else. You've taken a path in which there is no return. You destroyed one thing to build something else. You have to go ahead and continue with it or you don't have anything at all. You don't even have what you started with.
The sale was made subject to approval of Electroquip's engineering drawings for the modifications.
On December 2, Sam Phillips, an outside salesman for GESCO, called Electroquip's sales manager, Mac Colvin, and told him that the drawings had been approved. Colvin then went over to GESCO and picked up a copy of GESCO's purchase order, dated November 21, 1985. Electroquip commenced the modifications to the motor. Phillips testified at deposition that upon commencement of the work, the contract became non-cancellable.
Full case includes Shepard's, Headnotes, Legal Analytics from Lex Machina, and more.
857 S.W.2d 591 *; 1993 Tex. App. LEXIS 874 **
GENERAL ELECTRIC SUPPLY COMPANY, a Division of GENERAL ELECTRIC COMPANY, Appellant v. GULF ELECTROQUIP, INC., Appellee
Prior History: [**1] On Appeal from the 151st District Court. Harris County, Texas. Trial Court Cause No. 86-31591. Carolyn Garcia, Judge
Disposition: Judgment affirmed in part and reversed and remanded in part
summary judgment, executive order, attorney's fees, export, delivery, cancellation, buyer, trial court, packer, matter of law, summary judgment motion, impracticability, damages, no writ, deposition, restocking, deliver, purchase order, obligations, asserts, parties, entity, genuine issue of material fact, issue of fact, impossibility, nonmovant, contends, shipping, charges, seller
Civil Procedure, Summary Judgment, Entitlement as Matter of Law, General Overview, Judgments, Appeals, Summary Judgment Review, Opposing Materials, Burdens of Proof, Evidentiary Considerations, Motions for Summary Judgment, Written Motions, Business & Corporate Compliance, Sales of Goods, Construction & Obligations, Delivery & Shipping Terms, Contracts Law, Standards of Performance, Delivery & Tender, Supporting Materials, Affidavits, Evidence, Documentary Evidence, Writings, Hearings, Appropriateness, Authentication, Contracts Law, Measurement of Damages, Foreseeable Damages, Breach, Types of Damages, Compensatory Damages